Former Finance Minister Harold Lovell has issued a strong warning against the government’s proposed use of Social Security funds to invest in the Jolly Beach Resort, describing the plan as a “poison chalice” and a dangerous gamble with the nation’s pension reserves.

Speaking at a United Progressive Party (UPP) town hall meeting held at Freedom House on Monday evening, Lovell criticized the move as reckless, claiming it lacked basic financial transparency and posed a serious threat to the long-term viability of the Social Security scheme.

“This deal is deceptively attractive,” Lovell said. “Outwardly it looks promising, but beneath the surface, it’s a high-risk venture that could imperil future pension payments.”

The government has indicated that the Barrett Group’s management of the Jolly Beach Resort has led to a profit of US$1.5 million, but Lovell questioned the basis for that claim.

“Where is the valuation? Where are the audited financial statements? You cannot ask trustees to make a decision based on hope and hearsay,” he said.

Lovell pointed to the resort’s history of financial losses under previous operators, warning that any future shortfall would ultimately fall on Social Security. “Who’s going to shore up the resort if it starts bleeding cash again? The contributors’ money? That’s unacceptable,” he said.

He also accused the government of bypassing due process, stating that neither the Social Security Board nor its investment committee had received critical financial documentation.

“The board has not seen a valuation of the property, nor financial reports from the operator. They haven’t even seen audited accounts for the Social Security Fund itself in years,” he noted.

Lovell urged the trustees of the fund to uphold their fiduciary responsibilities and reject the proposal unless full transparency and risk assessments are provided.

“Their duty is not to the government, but to the contributors and beneficiaries. This is not government money. This is the people’s money,” he stressed.

He likened the Social Security Fund to a sacred trust, comparing it to a parent’s college savings for their child. “You don’t put that money into a shaky venture,” he said.

“Social Security must not be treated like a slush fund for risky experiments.”

The government has not yet responded to Lovell’s criticisms or provided further details on the resort’s financial performance.